Doha-based Qatar Airways is the latest airline company seeking compensation from Boeing (NYSE: BA) for the grounding of its 737 MAX aircraft. Though the state-owned flag carrier of Qatar does not operate any 737 MAX aircraft, it owns a 49% stake in Air Italy, which had three of the controversial aircraft in its fleet.
The three, along with scores of others across the world, were grounded after they were deemed unsafe to fly in the light of two back-to-back crashes. The first crash, involving an Ethiopian Airlines flight, killed 157 people, while the second incident saw a Lion Air-operated aircraft crashing off Indonesia, killing 189 passengers.
It’s been over 12 weeks since the 737 Max has been grounded
and airline companies have been cancelling orders worth millions of dollars. Boeing
said it did not get even a single new order for the 737 Max in March.
A slew of other airline companies have also sought
compensation from Boeing, citing losses due to cancellation of flights, driven
by the grounding.
Three Chinese airlines – China Southern Airlines, China Eastern Airlines, and Air China – have asked Boeing to reimburse the expenses related to the cancellation of its flights, according to local media. China Southern has as many as 24 737 Max aircraft, while China Eastern and Air China has 14 and 15 respectively.
Read: American Airlines stock hits a 3-year low, yet risks galore
Elsewhere Turkish Air and flydubai are also reportedly
seeking compensation for their losses. According to unconfirmed reports, Irish
low-cost airline Ryanair has been compensated for the losses by Boeing by
waiving off some amount of money it owed to the American aircraft manufacturer.
Back home, though United Airlines (NASDAQ: UAL) has remained supportive of Boeing during the hour of crisis, its CEO Oscar Munoz has said that he anticipates some sort of compensation coming “over time.”
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